Depending on how much cash you have on hand, you might be able to pay points on the loan and decrease the rate.

An uptick may be due to the decrease in bonus depreciation by 20% in the new year.

Yes, there may be some depreciation in certain markets in the next 6 - 24 months but overall when interest rates decrease buyers are going to flood the market and prices will increase again. 

Also, the insulation in attic was noted as inadequate at the time of inspection.

I didn't want the hassle, so I am taking about a 10% decrease in revenue, but I have less to deal with.

Also, if zoning restrictions were to be relaxed, could the area end up like others with abundant supply, potentially leading to a decrease in property values?

Jack MillerI have not had any tenants not pay rent, but I have seen rents soften for multi family and condo rentals (roughly 5-10% decrease in rental rates). 

Or is it mostly just a play to decrease volatility in booking rates? 

In nearly every case, the IRR continues to decrease the longer the property is held even though the cash flow is increasing.

Subtract depreciation, explained here:https://www.biggerpockets.com/forums/51/topics/1121063-expla...Because of Step 2, depreciation, many cash-flowing rentals end up showing $0 net profit, resulting in no tax increase and sometimes in tax decrease.